Break-Even Calculator
Calculate the break-even point for your business — the number of units you need to sell, or the revenue required, to cover all costs and start making profit.
Part of our Business Calculators collection.
Break-Even Calculator
Free online calculator
Rent, salaries, insurance, software — costs that don't change with sales volume
Materials, packaging, shipping, commissions — costs per item sold
Results update automatically as you type
How to Use This Calculator
- 1
Enter your total fixed costs for the period (monthly is most useful).
- 2
Enter your selling price per unit.
- 3
Enter your variable cost per unit (what it costs you to produce or deliver each unit).
- 4
See the break-even point in units sold and total revenue.
Break-Even Formulas
Contribution Margin = Price − Variable Cost Per Unit Break-Even Units = Fixed Costs / Contribution Margin Break-Even Revenue = Break-Even Units × Selling Price Contribution Margin Ratio = Contribution Margin / Price × 100
Example Calculation
Example: $10,000 fixed costs, $49.99 price, $18.50 variable cost
Inputs
Result
323 units | $16,147 revenue to break even
Contribution margin = $49.99 − $18.50 = $31.49. Break-even = $10,000 / $31.49 = 318 units (rounded up). Revenue = 318 × $49.99 = $15,897.